BJ Services Co. announced that its Well Services Division - Europe & Africa Region signed a contract with Shell UK Ltd. to provide coiled tubing, stimulation, and nitrogen services throughout Europe. The majority of services will be carried out by BJ Services for Shell in the UK continental shelf, on and offshore Holland, offshore Norway and Ireland.
The five-year contract includes two consecutive one-year options to renew.
"During the past five years, we have been working very successfully on behalf of Shell to provide effective well services, while being vigilant about safety and the environment. It is heartening to see that our efforts on Shell's behalf have fostered a strong working relationship and confidence in our ability to deliver," said Alasdair Buchanan, region manager - Europe-Africa Region for BJ Services. "From a corporate perspective, it is the largest contract that BJ Services has ever won through the online tendering process. It also represents nearly one-third of BJ Services' global revenue from Shell," he added.
The contract is part of Shell's Supply Chain Management Initiative that was launched several years ago in an effort to optimize the company's range of service contracts. It recognizes the strategic importance to both BJ Services and Shell of a good working relationship to continually improve the way operations are carried out. The contract challenges BJ Services to work very closely with Shell to seek out opportunities to provide efficiencies, without jeopardizing safety or the effectiveness of the services provided by BJ Services.